FUNDAMENTAL NEWS AND TECHNICAL ANALYSIS REPORT – 23 FEBRUARY 2023
GLOBAL DEBT SEES FIRST ANNUAL DROP SINCE 2015
Asian stock market closes in red on Wednesday. The Shanghai Composite is in red by 0.46% at 3291.15. Overall, the Singapore MSCI is in green at 0.10% at 298.45. Over in Hong Kong, the Hang Seng Index is down 0.51% at 20423.84. In Japan, the Nikkei 225 is down 1.34 at 2714.32. While the Topix index is down 1.11% at 1975.25, South Korea’s Kospi is down 1.68% at 2417.68. Australia S&P/ASX 200 is down 0.30% at 7314.50.TOP NEWS OF THE DAY:
The post-pandemic rebound in world growth and inflation last year meant the amount of debt sloshing around the global economy saw its first annual fall in dollar terms since 2015, a widely tracked study has shown.The Institute of International Finance report published on Wednesday estimated that the nominal value of global debt declined by some $4 trillion, bringing it fractionally back under the $300 trillion threshold breached in 2021.
With borrowing costs on the rise, particularly for emerging markets, the retrenchment was driven entirely by wealthier countries though, which as a group saw total debt decline roughly $6 trillion to $200 trillion.
In contrast, the amount of developing world debt hit a new record high of $98 trillion with Russia, Singapore, India, Mexico, and Vietnam seeing the largest individual rises.
Stronger economic activity and higher inflation meanwhile, both of which erode debt levels, saw the global debt-to-GDP ratio drop over 12 percentage points to 338% of GDP, marking the second annual drop in a row.
Market Summary as per 22/02/2023:
European equities Wednesday closing. The DAX futures contract in Germany traded up 0.01% at 15399.89, and CAC 40 futures were down 0.13% at 7299.26. UK 100 futures contract in the U.K. is down 0.59 at 7930.63.
In the U.S. on Wall Street, the Dow Jones Industrial Average closed down 0.31% at 33025.29. The S&P 500 was down 0.26% at 3987.09 and the Nasdaq 100 was down 0.07% at 11484.39, NYSE was down 0.27% close at 15530.08.
GBPUSD TECHNICAL ANALYSIS
TRADE SUGGESTION – SELL AT 1.20537, TAKE PROFIT AT 1.20121, SL AT 1.20745
